Boeing Stock Tumbles Amid Production and Cash Flow Concerns

Boeing's stock plummeted by 6% on Wednesday after CEO Kelly Ortberg spoke at the Morgan Stanley Laguna Conference, highlighting several challenges facing the aerospace manufacturer.

Ortberg revealed production constraints and revised cash flow expectations, stating that Boeing is not yet stable at its target rate of 47 aircraft per month on the 737 program. The constraint lies in wings production, which is hindering output ramp-up.

Boeing now sees free cash flow above $2 billion as less likely due to delivery challenges, although the company maintained its full-year guidance of $1 billion to $3 billion in free cash flow.